building tomorrow’s reality -the amazon way tomorrow’s reality-the amazon way john rossman your...
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1 . C u s t o m e r O b s e s s i o n
“The No. 1 determining factor on whether a consumer chose to make a purchase online was trust, not selection or price,
but trust. Trust is paramount to digital shoppers”but trust. Trust is paramount to digital shoppers ‐‐ Patrick Gauthier, VP of Amazon Payments
Ins t rumenta t ion –
A CORE DES IGN REQUIREMENTA CORE DES IGN REQUIREMENT
- Customer experience
- Processes
- All system components
Fi i l d i
R e a l T i m e M e t r i c s F o r :
- Financial drivers
Example: Perfect Order Percentage (POP) Example: Perfect Order Percentage (POP)
M e a s u r e s p e r c e n t a g e o f o r d e r s t h a t a r e p e r f e c t l y a c c e p t e d , p r o c e s s e d a n d
f u l f i l l e d .
Perfect Order Percentage
Perfect Refunds
Perfect CS Contacts
Perfect Info
Provided
Perfect Claims
Perfect Shipment
Perfect Perfect PerfectPerfect Fill Rate
Perfect Delivery
Perfect Items
7 . Think BIG
T h i n k i n g s m a l l i s a s e l f f u l f i l l i n g p r o p h e c y . L e a d e r s c r e a t e a n d
c o m m u n i c a t e a b o l d v i s i o n t h a t i n s p i r e s r e s u l t s . T h e y t h i n k
d i f f e r e n t l y a n d l o o k a r o u n d c o r n e r s f o r w a y s t o s e r v e c u s t o m e r s .
A
F O R C I N G F U N C T I O NF O R C I N G F U N C T I O N
I S A N A P P R O A C H F O R
S Y S T E M A T I C A L L YS Y S T E M A T I C A L L Y
E N F O R C I N G A S T R A T E G Y
Manage Your Dependencies
• S h i f t “ a s s ump t i o n s ” t o “ f a c t s ”
• Mana g e v i a S LA s
• D i v e D e e p o n C r i t i c a l P a t h
• Vo i c e o f Cu s t ome r
• I n s t i l l Own e r s h i p
Questions to Innovate –
The Amazon Way10
The Amazon Way
1 .Can t h e n e ed ( s t e p , c on t a c t , e t c . ) b e e l im in a t ed ?3 . Can t h e p r o v i s i on ing o r s c a l i n g b e on d emand ?4 . Can I mea su r e t h e p r o c e s s ( - - on a
l b )
5 .Can t h e s e r v i c e b e “when I wan t ” and r e a l - t ime ?6 .Wha t i s t h e “wo r s t c u s t ome r e x p e r i e n c e ” ?7 . Wha t a r e t h e du r ab l e cu s t ome r v a l u e s ?8 .How wou l d a p l a t f o rm s t r a t e g y l e v e r a g e my a s s e t s ?9 .Wha t i s t h e s y s t ems dynam i c mode l o f my e co s y s t em , 1 0 .Wha t a r e t h e t h i ng s t h a t a r e “h a rd ” , t h a t s hou l d b e
l
2 . Can t h e e xp e r i en c e b e a c r o s s a l ong v a l u e ch a i n ?
r e a l - t ime b a s i s ) ?and how do we c r e a t e a v i r t uou s c y c l e w i t h p a r t n e r s ?“ s imp l e ” ?
Questions to Improve & Re-Invent101 . C a n t h e n e e d ( s t e p , c o n t a c t , e t c . ) b e e l i m i n a t e d ?
2 . C a n t h e e x p e r i e n c e b e i n t e g r a t e d ?
3 . C a n t h e p r o v i s i o n i n g o r s e r v i c e b e a u t o m a t e d ?
4 C a n I m e a s u r e t h e p r o c e s s ( o n a d a i l y b a s i s ) ?4 . C a n I m e a s u r e t h e p r o c e s s ( o n a d a i l y b a s i s ) ?
5 . C a n t h e s e r v i c e b e “ w h e n I w a n t ” ?
6 . W h a t i s t h e “ w o r s t c u s t o m e r e x p e r i e n c e ” ?
7 . H o w c o u l d “ t h e i n t e r n e t o f t h i n g s ” c h a n g e t h e v a l u e p r o p o s i t i o n ?
8 . I s t h e s e r v i c e o r p r o c e s s g o o d e n o u g h t o h a v e e x t e r n a l c u s t o m e r s ?
9 . I s c u s t o m e r e x p e r i e n c e “ o m n i - c h a n n e l ” ?
1 0 . H o w w o u l d a d i s r u p t o r a c t ?
THE ECONOMIC VALUE ADD FROM IOT
Gartner
PREDICTIONS FOR 2020
Gartner
• 26 billion endpoints
• $1.9 trillion in economic value-add
Cisco
• 50 billion endpoints
• $14.4 trillion of value
IDC
• 212 billion endpoints
• $8.9 trillion market
ENDPOINT = CONNECTED THING (TVS, SMART PHONES, SENSORS, CARS, ETC.)
SENSORS Optical Proximity
Motion
lTemperature
Tilt
Humidity Magnetic
SounddLevels / Leaks
Chemical / Gas Flow Pressure
IMPROVING CUSTOMER EXPERIENCE WITH IOT--THE AMAZON WAY--THE AMAZON WAY
Shopping made simple.Friction FreeFriction Free.
New Interfaces.
IMPROVING CUSTOMER EXPERIENCE WITH IOT
Non Amazon ExampleNon Amazon Example
Assisting Usage Auto-Replenishment
Coordinated Delivery
“The death knell for anyThe death knell for any enterprise is to glorify the past – no matter how good it was.”g